Question

As per IRAC (Income Recognition and Asset Classification) norms, an asset is classified as a 'Loss Asset' when: 

A It has been an NPA for more than 3 years.
B The collateral value has eroded by more than 50%.
C It is identified as such by the bank or internal/external auditors or the RBI inspection, but the amount has not been written off.
D The borrower has fled the country.
E The borrower's business has been shut down for 6 months.
Practice Next

Hey! Ask a query

🎓
Think You're Ready for RBI Grade B?
RBI Grade B 2026 Phase 1 Memory Based Paper
  • 200 Questions with Detailed Solutions
  • Section-wise Coverage (GA, English, Quant & Reasoning)